How to frame efficient rural finance policies that would become potent tools for development remains as a challenge to policymakers. Over the past two decades, the Philippines' rural financial market has gone through various experiences and stages of development. Unfortunately, the saga had largely been some kind of a "forward-backward" policy, thereupon leading to certain costs on the part of both the government and the small farmers/rural borrowers. This Policy Notes therefore recommends the need for a fresh approach as herein explained.
